CoinMarketCap recently announced the formation of an alliance with Exchanges to deter unethical practices at cryptocurrency Exchanges like market manipulation, wash trading and ‘fake trading volume’ on Exchanges.
The alliance, Data Accountability and Transparency Alliance, was initiated after the reports of ‘fake trading volume’ on Exchanges were published independently by two Research Institutions. The alliance requires the partner exchanges to send standard API data. The API data includes all the trade orders on the Exchange to include transparency and ensure that there is no ‘wash trading.
The Exchange’s Official page tweeted,
We are honored to be invited by CoinMarketCap of being one of the Data Accountability & Transparency Alliance. And Bibox is ready to contribute its share to construct a more transparent cryptocurrency world with so many industry partners.
The alliance kick-started with twelve cryptocurrency Exchanges. Bibox Exchange is one of the most recent additions to the alliance.
Found in 2017, Bibox provides a variety of crypto-related financial products that include margin trading and a peer-to-peer OTC trading portal. In the last 24 hours, the Exchange has a trading volume of about $805 million, according to CoinMarketCap. Furthermore, Bibox also has an Exchange token, BIX, which is used to reward its user and also launch new blockchain projects. It is regulated in a similar manner to that of the Binance [BNB] coin.
The DATA alliance currently has only 22 Exchange members as partners. CoinMarketCap is the most visited site in the cryptocurrency space which has recently increased its efforts to increase the accountability of the data on their site. Furthermore, the inclusion of top exchanges and their resolution towards transparency establishes DATA as a benchmark standard to provide proof of authenticity.
Do you think other Exchanges would partner with CoinMarketCap soon? Please share your views with us.
Passionate about Blockchain and has been researching and writing about the Blockchain technology for over a year now. Also holds expertise in digital marketing. follow me on twitter at @sagar2803 or reach out to him at sagar[at]coingape.com